As parents, we know that our children’s financial future starts with us. it’s our responsibility to teach good money lessons by instilling good money habits that will set them up for a financially secure future.
So where do you start? We’ll show you how with these easy-peasy tips:
Start a budget
A lesson in budgeting will help your children grow confident about handling their own finances. When they understand where money comes from, how to budget and save, they will find that tasks in their future as well as professional lives become easier to manage because they are in control of their money.
Shop, shop & shop around!
But don’t buy, just yet! Teach your kids about the negative impact of impulse buying and how it can affect their bank balance. Show them that if they shop online or wait a couple of weeks or months for a sale, that same item may cost less.
Making money can be very personal. A lot of us make the amount of money we feel we are worth, and most of the time – we sell ourselves short. Teach your children to have a high self-image and the confidence they need to be a success. (Money usually follows this frame of mind!)
Real money = real life lessons
Start with simple activities like shopping trips and buying groceries. Let your children handle the money and count the change. This will help them to feel confident handling money and also teach them the basics of finance.
Start your own business
Encourage entrepreneurship! Children can learn business ethics through school fetes and church bazaars through a small business they can run and manage. Plus side: extra pocket money!
Pay your bills on time, always!
This is very important. Use this as an opportunity to let them know why staying up to date on payments is crucial. This is also a great way of showing them how debt can spiral out of control if they fall behind on payments.
If you don’t have the money, you can’t have it
When your child understand this, it will help build a solid understanding of how money works. This will also help to explain why a debt-free life is important.
And parents, don’t forget to set a good example
Your children watch every move you make, even when it comes to money – so lead by example and make sure your finances are in order. If you’re struggling with debt, why not contact Meerkat
and one of our professional and friendly debt counsellors can help you get started.
Remember that creating good habits like money management takes time so talk to your kids often and honestly about money and finance and let them know it’s a normal part of life and a good lesson to know!